Tax amendments: changes to the payment of health insurance contributions and reduced VAT rate for high-quality food products

Deferred payment of the health insurance contribution for 2014 – 2017

• The deadline for paying the health insurance contribution for the 2014 – 2017 period as per tax decisions communicated from 15 – 23 May 2019 has been postponed. New payment deadlines have been set as follows:
• 120 days from the date GEO 31/2019 entered into force (i.e. 21 September 2019);
• 60 days from the date GEO 31/2019 entered into force (i.e. 23 July 2019). In this case a 10 % reduction of the payable amount applies.
• New deadlines have also been set for paying the health insurance contribution for the 2014 – 2017 period as per tax decisions communicated after 24 May 2019 as follows:
• 120 days from the date the tax decision was received;
• 60 days from the date the tax decision was received. The 10 % reduction of the payable amount also applies in this case.

Reduced VAT rate for high-quality food products

• As of 1 June 2019, high-quality food products (produced in mountain areas, eco products, traditional products) authorised by the Ministry of Agriculture and Rural Development will be subject to 5 % VAT, as opposed to the currently applicable 9 % rate.

GEO 31/2019 was published in the Official Gazette of Romania No. 403 of 23 May 2019.